| Consensus | Actual | Previous | |
|---|---|---|---|
| Orders Balance | -16% | -32% | -18% |
Highlights
The Confederation of British Industry's industrial trends survey for June showed weakness in orders, with the balance reducing to minus 32 percent from minus 18 percent in June.
Total new orders fell in July similar to the previous quarter (now minus 9 percent from minus 6 percent in April). Manufacturers expect total new orders to be unchanged over the next three months. Business sentiment fell as well in July, after rising in April for the first time in nearly three years (now minus 9 percent from plus 9 percent in April).
Output volumes are broadly unchanged (now minus 3 percent, from plus 3 percent in the three months to June). However, firms expect volumes to grow in the next three months (plus 25 percent), the strongest expectations since March 2022.
There was an increase in average costs (now plus 52 percent, from plus 39 percent in April) and average domestic prices increased over the three months to July (now plus 15 percent, from plus 10 percent in April). Unemployment remained unchanged.
The latest results put the UK RPI at minus 29 and the RPI-P at minus 31. Overall economic activity is falling behind market expectations.
Total new orders fell in July similar to the previous quarter (now minus 9 percent from minus 6 percent in April). Manufacturers expect total new orders to be unchanged over the next three months. Business sentiment fell as well in July, after rising in April for the first time in nearly three years (now minus 9 percent from plus 9 percent in April).
Output volumes are broadly unchanged (now minus 3 percent, from plus 3 percent in the three months to June). However, firms expect volumes to grow in the next three months (plus 25 percent), the strongest expectations since March 2022.
There was an increase in average costs (now plus 52 percent, from plus 39 percent in April) and average domestic prices increased over the three months to July (now plus 15 percent, from plus 10 percent in April). Unemployment remained unchanged.
The latest results put the UK RPI at minus 29 and the RPI-P at minus 31. Overall economic activity is falling behind market expectations.
Market Consensus Before Announcement
The orders balance is seen edging up a couple of percentage points to minus 16 percent.
Definition
The Confederation of British Industry (CBI) produces a monthly survey (and a more detailed quarterly report) analysing the performance of UK manufacturing industry. This is the UK's longest running qualitative business tendency survey. Questions relate to domestic and export orders, stocks, price and output expectations with the main market focus being the domestic orders balance. The survey is seen as a loose leading indicator of the official industrial production data.
Description
Started in 1958, this is the UK's longest-running private sector qualitative business tendency survey. The survey is used by policy makers along with those in the business community, academics and top analysts in financial markets. One of its key strengths is that it is released within ten days and prior to official statistics and includes data not covered by official sources. It is never revised. The data are also used by the European Commission's harmonized business survey of EU countries.
Frequency
Monthly and quarterly
Frequency
Monthly and quarterly
